The article explains main features of small businesses in the agricultural sector, as well as the advantages of small agribusiness to corporations. Agro-franchising is one of the ways of effective interaction between large and small agribusiness, which can ensure a decent standard of living and well-being of small farms. Agro-franchising is an agribusiness system that includes a large agricultural enterprise (franchisor), which operates effectively in the market, has its own well-established brand and a small entity (franchisee), which has acquired from the franchisor the right to use its trademark and business technologies.The author notes that this system of organization of agricultural production is especially relevant for private farms, as it is known that natural and high-quality agricultural products are more popular with buyers than the products of large agricultural enterprises.The use of agro-franchising promotes the introduction of effective innovative agricultural technologies and standards of agricultural production, serves as an indispensable means of increasing the popularity and competitiveness of domestic trademarks.The article describes the main advantages and disadvantages of agro-franchise. The introduction of agro-franchising by Ukrainian small producers will help to expand their social base, increase the attractiveness and prospects of small agribusiness in the eyes of young people.